What are Trade Signals?
In simple terms, Pump signals help you make better trading decisions by looking closely at two key factors: how prices are changing and the number of open contracts that have not yet been settled (open interest). We monitor the market every single minute for every trading pair on three major platforms: Bybit Futures, Binance Futures and Hyperliquid Perps. This helps you spot trading pairs that are starting to show notable changes right away. It's like having a smart assistant watching the markets for you, ensuring you don’t miss out on good trading opportunities.
What is Open Interest?
The Open Interest (OI) indicator in trading refers to the total number of outstanding derivative contracts, such as options or futures, that have not yet been settled. It provides key insights into market activity and liquidity, and is particularly important in the derivatives markets.
Combination of Open Interest and Price
The relationship between open interest (OI) and price movement is crucial for identifying trends and gauging market sentiment. Here’s how they work together:
Trend Confirmation: Rising OI and prices suggest a strong, continuing trend. Falling OI and prices may indicate a weakening trend.
Market Sentiment: An increase in price with a decrease in OI could signal an upcoming trend reversal, as it shows a lack of new interest at higher prices.
Volume and OI: High volume with increasing OI supports the legitimacy of the current price trend, indicating active participation.
Reversals: A mismatch between price trends and OI changes can hint at potential market reversals.
Liquidity: A high OI indicates a more liquid market, making it easier for traders to enter or exit positions.
Pump Signals Interface
The workspace is divided into three main sections: Pump Signals, a Chart with a trading area, and Positions.
Pump Signals displays a list of alerts combining information such as how the price is moving, how much open interest is changing, what the trading pair is called, where it's being traded, and when the alert was sent.
Filters at the top of the Signal list allow you to narrow results based on your preferences. You can adjust the time period (5, 10, or 15 minutes), the minimum price change you're interested in (from 1% to 10%), and the required change in open interest (from 1% to 10%).
You can also set up alerts for the Pump Screener. There are three types of alerts available in the Pump Screener settings:
Audio Notification: Plays a sound when a new signal is received.
Browser Notification: Displays a pop-up window in your browser when a new signal is received.
Telegram Notification: Sends a message to your Telegram account when a new signal is received.
Clicking on an alert will immediately display the chart for that trading pair, set to a 1-minute timeframe.
Below the chart, you’ll see an Open Interest indicator for that asset. To the right of the chart is a trading terminal that enables one-click trading.
You can also create presets for your trading preferences. Options include: Take Profit, Stop Loss, Move to Break Even, and DCA (Dollar-Cost Averaging). Once configured and saved, your settings will automatically apply to all trades made from this terminal.
Once you open a position, it will appear in the Position section below the chart. In the strategy's Actions part, you can either close the strategy at market price, or select "View Chart" to display the pair's chart. This will visually indicate where you entered on the chart.
Trading Setups
Below is a list of trading setups that indicate which presets to use for different trade types.